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Demande de travail et élasticité des heures au salaire

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Author Info
Muriel Roger
Sébastien Roux

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Abstract

Abstract This article examine the theoretical meaning of the elasticity of hours to wages accounting for Labour demand in an on-the-job equilibrium search model framework. A firm posts part and full-time job offers as a result of the trade-off between its demand variability, its wage costs and its hiring costs. Utility as a function of wages and the number of weekly worked hours is the criterion workers consider when accepting or rejecting job offers. We prove the existence of a Nash equilibrium, in which all firms hire both part- and full-time workers. Simulating the model, we show that the relationship between hours and wages depends dramatically on the firm?s demand shape parameter and not on the individual preference for leisure. JEL Classification ? J22, J23, J64.

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Publisher Info
Article provided by De Boeck Université in its journal Recherches économiques de Louvain.

Volume (Year): 75 (2009)
Issue (Month): 1 ()
Pages: 63-91
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Handle: RePEc:cai:reldbu:rel_751_0063

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Related research
Keywords: labor demand; elasticity; equilibrium search;

Find related papers by JEL classification:
J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
J64 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Unemployment: Models, Duration, Incidence, and Job Search

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This page was last updated on 2009-12-4.

This information is provided to you by IDEAS at the Department of Economics, College of Liberal Arts and Sciences, University of Connecticut using RePEc data on a server sponsored by the Society for Economic Dynamics.